Centene Won’t Buy Many Provider Organizations

CEO says that the acquisition of Community Medical Group in Florida is not the beginning of a purchasing spree.

Centene CEO Michael Niedorff told analysts on a call about second quarter earnings yesterday that “we’re not out there buying all the practices we can and all the clinics that we can.” That’s in response to Centene’s acquisition of Community Medical Group in Florida, which owns 15 health centers in the Miami-Dade County area, Forbes reports. 

There’s been a spate of acquisitions of provider groups by health plans over the last couple of years, spurred in part by a focus on value-based care. “Centene is instead spending more on increasing access to health insurance products in additional states and markets where it wants to expand further into Medicare Advantage and individual coverage offerings under the Affordable Care Act,” Forbes reports.